Another day of declines for the energy market on Friday as products closed moderately lower to close out a generally poor week. Until we get some sort of a resolution to the current Greek crisis, we should expect declining prices to remain the norm as the risks posed by a Greek default are so great. There has been a small recovery this morning however as hopes have been renewed that China may take steps to stimulate growth and lift demand. Turning to Fridays closing levels Brent crude closed out the session at $107.14 down $0.35. WTI crude closed out the session at $91.48 down $1.08. Gasoil closed at $907.75 down $10.75 while UK Nat Gas closed at £53.24 down £0.99. The Euro is trading firmly in the positive territory on Monday, hovering over the key level at 1.2800 as the Asian session is drawing to an end. Trading is very quiet in Europe this morning and the in US. We can expect more swings, with the crisis in the euro zone taking center stage again. At the moment the cross is up 0.24% at 1.2784, with the next resistance at 1.2814 followed by 1.2841 then 1.2869 and 1.288. On the flip side, a breach of 1.2737 would expose 1.2698 then 1.2675 and finally 1.2642.

Equities closed lower in the US on Friday and also lower in Europe with not even the IPO of Facebook able to make the market move higher. In Europe the FTSE closed at 5267.62 down 70.76. The DAX in Germany closed at 6271.22 down 37.74. In the US the DJIA closed at 12369.38 down 73.11 while the S&P closed at 1295.22 down 9.64. Gold is trading at 1597.60 while Silver is at 28.66.

In economic data today we have a very quiet session with only Euro-Zone Construction Output this morning. This is followed up with Chicago Fed Nat Activity in the afternoon ahead of the US open. Later on in the week we look out for UK GDP and CPI data. Further ahead we have U.S. Durable Goods orders and Michigan Confidence in the U.S.

For Brent crude we draw first resistance at $108.00 followed by $109.00. On the downside we draw first support at $107.00 followed by $106.00.

For Gasoil we draw first resistance at $915.00 followed by $920.00. On the downside we draw first support at $908.00 followed by $905.00.

Jaime Miralles